IJMIE ISSN: 2249-0558 - CiteSeerX

IJMIE Volume 1, Issue 4 ISSN: 2249-0558 __________________________________________________________

A Monthly Double-Blind Peer Reviewed Refereed Open Access International e-Journal - Included in the International Serial Directories Indexed & Listed at: Ulrich's Periodicals Directory ©, U.S.A., Open J-Gage as well as in Cabell’s Directories of Publishing Opportunities, U.S.A.

International Journal of Management, IT and Engineering http://www.ijmra.us

256

September 2011

International Journal of Management, IT & Engineering (ISSN: 2249-0558)

CONTENTS

Sr.

No. TITLE & NAME OF THE AUTHOR (S) Page

No.

1 A Study on the Job Stress in Association with Personal Attributes of University Employees in Nepal.

Shyam Bahadur Katuwal 1-23

2 A Comparative study of the Relationships between Multiple Intelligences and General Self Efficacy

among Public and Private Organizations in Maragheh.

Gholam Reza Rahimi and Mohammad Reza Noruzi

24-39

3 A STUDY TOWARDS OVERCOMING EMPLOYEE RESISTANCE TOWARDS TIMESHEET.

B. Koteswara Rao Naik and M. Kameshwara Rao 40-55

4 An Integrated Cryptographic Algorithm based on Biometric Features.

S. Sathyavathi and P. Krishnakumari 56-71

5 An Efficient Model to Improve Software Development Process and Quality Assurance.

Ajay Jangra and Sachin Gupta 72-89

6 Reliability Prediction of Fault-Tolerant Multicomputer Interconnection Networks.

N.K. Barpanda, R.K.Dash and C.R.Tripathy 90-109

7

The Moderating Role of Supporting Technology on the Relationship between Firm Integration and

Supply Chain Orientation: An Emperical Investigation of Consumer Goods Industry in SOUTH

SUMATERA INDONESIA.

Inda Sukati, Abu Bakar Abdul Hamid, Rohaizat Baharun and Huam Hon Tat

110-142

8 Searching and Integrating Query Interfaces using Domain Ontology.

Anuradha and A.K Sharma 143-161

9 Identification of Paraphrasing in the context of Plagiarism.

Nidhi Kushwaha, Deepak Kumar and Dr. P. R. Gupta 162-175

10 An efficient implementation of Triple DES (Data Encryption Standard) through Hash function.

N.Venkatesan 176-200

11 Health Education and Quality of Life: The Santal Community in Bengal.

DR. SHARMISTHA BHATTACHARJEE 201-218

12 Police Observations of the Durable and Temporary Spatial Division of Residential Burglary.

M.Vijaya Kumar and Dr .C.Chandrasekar 219-240

13 Frequency Control in Interconnected A.C. Systems through HVDC Link Using Artificial

Intelligence.

Dr. Anil Kumar Sharma and Dr. G. K. Joshi

241-255

14 Challenges and the Future Perspectives of labor Related Issues in Internationalization.

Farhad Nezhad Haji Ali Irani, Sirous Fakhimi-Azar and Mohammad Reza Noruzi 256-271




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September 2011

Chief Patron Dr. JOSE G. VARGAS-HERNANDEZ

Member of the National System of Researchers, Mexico

Research professor at University Center of Economic and Managerial Sciences,

University of Guadalajara

Director of Mass Media at Ayuntamiento de Cd. Guzman

Ex. director of Centro de Capacitacion y Adiestramiento

Patron Dr. Mohammad Reza Noruzi

PhD: Public Administration, Public Sector Policy Making Management,

Tarbiat Modarres University, Tehran, Iran

Faculty of Economics and Management, Tarbiat Modarres University, Tehran, Iran

Young Researchers' Club Member, Islamic Azad University, Bonab, Iran

Editorial Board

Dr. CRAIG E. REESE Professor, School of Business, St. Thomas University, Miami Gardens

Dr. S. N. TAKALIKAR Principal, St. Johns Institute of Engineering, PALGHAR (M.S.)

Dr. RAMPRATAP SINGH Professor, Bangalore Institute of International Management, KARNATAKA

Dr. P. MALYADRI Principal, Government Degree College, Osmania University, TANDUR

Dr. Y. LOKESWARA CHOUDARY Asst. Professor Cum, SRM B-School, SRM University, CHENNAI

Prof. Dr. TEKI SURAYYA Professor, Adikavi Nannaya University, ANDHRA PRADESH, INDIA




258

September 2011

Dr. T. DULABABU Principal, The Oxford College of Business Management, BANGALORE

Dr. A. ARUL LAWRENCE SELVAKUMAR Professor, Adhiparasakthi Engineering College, MELMARAVATHUR, TN

Dr. S. D. SURYAWANSHI Lecturer, College of Engineering Pune, SHIVAJINAGAR

Dr. S. KALIYAMOORTHY Professor & Director, Alagappa Institute of Management, KARAIKUDI

Prof S. R. BADRINARAYAN Sinhgad Institute for Management & Computer Applications, PUNE

Mr. GURSEL ILIPINAR ESADE Business School, Department of Marketing, SPAIN

Mr. ZEESHAN AHMED Software Research Eng, Department of Bioinformatics, GERMANY

Mr. SANJAY ASATI

Dept of ME, M. Patel Institute of Engg. & Tech., GONDIA(M.S.)

Mr. G. Y. KUDALE

N.M.D. College of Management and Research, GONDIA(M.S.)

Editorial Advisory Board

Dr.MANJIT DAS Assistant Professor, Deptt. of Economics, M.C.College, ASSAM

Dr. ROLI PRADHAN Maulana Azad National Institute of Technology, BHOPAL




259

September 2011

Dr. N. KAVITHA Assistant Professor, Department of Management, Mekelle University, ETHIOPIA

Prof C. M. MARAN Assistant Professor (Senior), VIT Business School, TAMIL NADU

DR. RAJIV KHOSLA Associate Professor and Head, Chandigarh Business School, MOHALI

Dr. S. K. SINGH Asst. Professor, R. D. Foundation Group of Institutions, MODINAGAR

Dr. (Mrs.) MANISHA N. PALIWAL Associate Professor, Sinhgad Institute of Management, PUNE

DR. (Mrs.) ARCHANA ARJUN GHATULE Director, SPSPM, SKN Sinhgad Business School, MAHARASHTRA

DR. NEELAM RANI DHANDA Associate Professor, Department of Commerce, kuk, HARYANA

Dr. FARAH NAAZ GAURI Associate Professor, Department of Commerce, Dr. Babasaheb Ambedkar Marathwada

University, AURANGABAD

Prof. Dr. BADAR ALAM IQBAL Associate Professor, Department of Commerce, Aligarh Muslim University, UP

Associate Editors

Dr. SANJAY J. BHAYANI Associate Professor ,Department of Business Management, RAJKOT (INDIA)

MOID UDDIN AHMAD Assistant Professor, Jaipuria Institute of Management, NOIDA

Dr. SUNEEL ARORA Assistant Professor, G D Goenka World Institute, Lancaster University, NEW DELHI




260

September 2011

Mr. P. PRABHU Assistant Professor, Alagappa University, KARAIKUDI

Mr. MANISH KUMAR Assistant Professor, DBIT, Deptt. Of MBA, DEHRADUN

Mrs. BABITA VERMA Assistant Professor, Bhilai Institute Of Technology, DURG

Ms. MONIKA BHATNAGAR Assistant Professor, Technocrat Institute of Technology, BHOPAL

Ms. SUPRIYA RAHEJA Assistant Professor, CSE Department of ITM University, GURGAON




261

September 2011

Challenges and the Future Perspectives

of labor Related Issues in

Internationalization

Farhad Nezhad Haji Ali Irani

Public Management, PhD Islamic Azad University,

Bonab Branch, Iran

Sirous Fakhimi-Azar

Business Management, PhD

Assistant Professor, Islamic Azad University,

Tabriz Branch, Iran

Mohammad Reza Noruzi

EMBA, PhD Student Policy Making in Public

Sector Islamic Azad University,

Bonab Branch, Iran Young Researchers Club Member, Islamic Azad

University, Bonab Branch, Iran

Title

Author(s)




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September 2011

Abstract:

Multinational corporations manufacture products in many countries and sell to consumers around

the world. Money, technology and raw materials move ever more swiftly across national borders.

Along with products and finances, ideas and cultures circulate more freely. As a result, laws,

economies, and social movements are forming at the international level (Global Policy Forum,

2011). This paper aims to study some effects of labor related issues in globalization in general.

Keyword: Globalization, Society, Management, Effects of Globalization

Introduction:

Perhaps the greatest challenge most companies face in expanding their foreign direct investment

(FDI) is how to integrate host country national (HCN) managers into the management process of

their overseas subsidiaries as well as that of the parent companies themselves (Keeley, 2001,

p.1). In HRM Internationalization, there are some problems associated with HCN integration for

most companies so human resource managers should seek and clarify the extent to which HCN

managers are actually integrated (Keeley, 2001).

For more than 20 years scholars from a variety of fields have been engaged in a vigorous debate

about a new social phenomenon: globalization (Belk, 1996; Featherstone, 1990, 1995; Ger and

Belk, 1996; Liebes and Katz, 1993; Robertson, 1992; Sklair, 2002; Waters, 1995; Matei, 2006,

p.1).Human societies across the globe have established progressively closer contacts over many

centuries, but recently the pace has dramatically increased. Jet airplanes, cheap telephone

service, email, computers, huge oceangoing vessels, instant capital flows, all these have made the

world more interdependent than ever. The global social justice movement, itself a product of

globalization, proposes an alternative path, more responsive to public needs and intense political

disputes will continue over globalization's meaning and its future direction (Global Policy

Froum, 2011).




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September 2011

Internationalization:

According to Investor Word, (2005), internationalization is the name for the process of

increasing and speeding up the connectivity and interdependence of the world's markets and

businesses and other institutions. This process has speeded up dramatically in the last two

decades as technological advances make it easier for people to travel, communicate, and do

business internationally (investor word, 2005).

Internationalization pipelines:

Two major recent driving forces are advances in telecommunications infrastructure and the rise

of the internet. In general, as economies become more connected to other economies, they have

increased opportunity but also increased competition. Thus, as globalization becomes a more and

more common feature of world economics, powerful pro-globalization and anti-globalization

lobbies have arisen (investor word, 2005).

The pro-globalization lobby argues that globalization brings about much increased opportunities

for almost everyone, and increased competition is a good thing since it makes agents of

production more efficient.

The anti-globalization group argues that certain groups of people who are deprived in terms of

resources are not currently capable of functioning within the increased competitive pressure that

will be brought about by allowing their economies to be more connected to the rest of the world

(investor word, 2005).

Global Human Resource Management Challenges:

Industrial emergence of worldwide production markets and broader access to a range of foreign

products for consumers and companies particularly movement of material and goods between

and within national boundaries International trade in manufactured goods has increased more

than 100 times (from $95 billion to $12 trillion) since 1955(BBC NEWS, 2007). China's trade

with Africa rose sevenfold during 2000–07 alone (Times Online, 2008; Politzer, 2008). And

these are some effects of globalization in the area of rapid changing.




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September 2011

As an integral part of this process, there are a number of important related topics such as: parent

country's management in general, the transferability of parent country's management practices to

their foreign subsidiaries, international human resource management (IHRM) issues, as well as

cross-cultural management and multinational management issues. Investigating the role of HCN

managers provides insights into country's IHRM through the eyes of the HCN managers

themselves and reveals how multinational corporations (MNCs) actually manage their foreign

subsidiaries (Keeley, 2001).

The Internationalization and Localization Issues:

The trend among National and Multi National Companies (MNCs) in recent years is to seek to be

global and local at the same time. On the one hand, MNCs should seek global efficiencies and

competitive power by integrating to the greatest degree possible its diverse activities around the

globe. They must consider how to use all their resources, both material and human, in the most

efficient and effective manner possible. Such a goal implies that a firm will have a global

perspective on the acquisition and utilization of resources (including human resources) and

ignore the national origin factor. On the other hand, MNCs should strive to be sensitive and

responsive to local situations, considering the needs and desires of the local population as much

as feasible in balance with a global integration strategy (see Bartlett and Ghoshal, 1989;

Scullion& Collings, 2006).

Changes in the international environment during the last two decades are forcing most firms to

consider globalization and localization issues more seriously. Factors such as the high value of

the currency's value and trade friction have led firms of all sizes to establish or expand foreign

manufacturing facilities. The large-scale expansion of overseas operations by Japanese firms

during the 1980s and 1990s has brought about a shortage of qualified Japanese PCN managers to

fill management positions at foreign subsidiaries (Keeley, 2001, 6). The high cost of maintaining

so many PCN managers at foreign subsidiaries and complaints by HCN employees and local

authorities underlines the importance of integrating HCNs into the management process

(Scullion& Collings, 2006). There is a significant body of research (Yoshihara, 1994; Kopp,

1993), suggesting most Japanese and Asian MNCs have a long way to go before reaching such a




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stage in their organizational development. Corporations are going global in the sense that they

are engaging in extensive FDI but at the same time they are not going local, as US and European

companies have tended to do. Wingrove (1997, cited in Keeley, 2001) bases her conclusions on

a study of well-known Japanese companies operating in Britain, including: Mitsubishi Electric,

Hitachi Power Tools, Kobe Steel and Mitsui and Co. She found that Japanese expatriates fill

practically all the senior managerial posts. Furthermore, Wingrove contends that even when

decision-making is delegated to managers in the European markets, the Japanese practice of

consensus still requires thorough consultation with head office in Japan. She asserts that the

Japanese parent companies tightly control the operation of their foreign subsidiaries and that

many Japanese foreign manufacturing subsidiaries have not moved beyond the screwdriver-plant

stage. She also reported that Shoichiro Irimajiri, senior managing director at Honda, stated

Japanese firms are 10–20 years behind in internationalization (Keeley, 2001).

Successful Localization in IHRM:

Localization has emerged as a key issue in the management of multinational corporations in

IHRM and every HR managers should consider this issue as an important and key point in their

forthcoming staffing process. The concept is, however, often used in generic terms without

specific dentition. In this regard Hideo Sugiura, the former vice-chairman of Honda,

distinguished between four types of localization: localization of products, profit, production and

people (cited in Evans et al., 2002). For our purposes in this paper, we specifically discuss the

localization of people (Scullion& Collings, 2006). From this perspective, localization

(sometimes called labor nationalization, host country national development or indigenization) is

defined as, ―the extent to which jobs originally filled by expatriates are filled by local employees

who are competent to perform the job‖ (Selmer, 2004: 1094) and it is often considered one of the

crucial drivers of the employment policies of many nation-states. Localization also influences

the state‘s relationships with foreign organizations seeking to operate within their national

boundaries. Evans et al. (2002) see localization as systematic investment in the recruitment,

development and retention of local employees, which is an important element in the

globalization strategy of multinationals (Scullion& Collings, 2006, 139-140).




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September 2011

Advantages of Successful HR Localization in IHRM:

A successful IHR manager should compare the advantages and disadvantages of differing

expatriate and local staffing strategies in conjunction with other key management strategic

decision makers in order to select the best strategy for the MNC. There are many benefits that

arise from utilizing local people rather than expatriates to fill key positions within foreign

operations. Often these benefits are underestimated, particularly for senior positions, for reasons

which are often based on racial or national stereotypes (Banai, 1992).

There are four advantages of successful localization policies. First, localization of human

resources may improve relations between foreign investors and host country governments.

Selmer (2004) has argued that this is the case in the Chinese context as the government favors

the development of local employees. Thus from the MNC‘s point of view, a localization strategy

may help to ensure foreign operations operate with minimum levels of conflict with the host

authorities, while simultaneously garnering greater buy-in and support from the host

government. Second, localization of human resources may improve communication, and,

ultimately business performance in the host country. This is because communication local-to-

local is usually more effective than foreigner-to-local. Third, host country labor is generally a

more reliable resource than temporary workers, who even if they work in the country for a long

time, have divided loyalty (Black and Gregerson 1992) and certainly see their ultimate

destination as a different location. Fourth, from an economic perspective, by responding to local

needs, especially through investing capital and employing local labor, the organization increases

the wealth of the local population and so increases its ability to buy products and services sold by

local business. Even if the market is small and poor, there can be good potential for growth and

long-term profit (Prahalad, 2004; Scullion& Collings, 2006, pp.141-142).

Disadvantages of Successful HR Localization in IHRM:

There are four main disadvantages in developing localization policies. First, understanding local

markets takes time, effort, and extensive financial resources. Second, there are disadvantages

related to the complexities of having to make changes in work policy and practice to meet local

conditions. Third, managing without expatriates involves looser coordination from an HQ




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September 2011

perspective and potentially greater problems in communicating with HQ from a subsidiary

perspective. Fourth, a major concern of senior HQ managers with respect to localization strategy

is the fear of losing intellectual property rights, particularly in the emerging markets where the

perception is that everything can be copied (Scullion & Collings, 2006). Selmer (2004) describes

this as an ―agency problem‖ and argues that expatriate presence may help to guard against local

managers pursuing their personal self-interest in managing the subsidiary or making decisions

which are incongruent with the organization's global strategy (Scullion & Collings, 2006).

International Talent Management Issue in IHRM:

In globalization era, most leading multinationals increasingly seek to combine local recruitment

strategies with a more global approach due to the need to manage the growing mobility of labor

in a more coordinated manner, and this trend is only likely to increase in the coming decade

(Scullion & Collings, 2006). Thus, the competition for talent is becoming more intense, with

international firms competing with each other as well as with leading local organizations (Patel,

2002). For successful management in new turbulent markets, human resource managers must

thoroughly consider not only worker credentials and relevant work experience, but also other

employee talents and overall potential.

The Future of IHRM:

In addition to the current strategic IHRM problems and difficulties that face MNCs, it is likely

that the future will bring new strategic challenges to be overcome by MNCs and drive new

directions in the field of IHRM. This is due to such dynamic issues as an increasingly migratory

international workforce seeking better quality of life and higher salaries. Additionally, the

corresponding geographical dispersion (as a result of migrating workers), could lead to enhanced

cross-cultural issues especially for expatriate workers and staff, changing the comparative

advantages for most countries. These ongoing and newly emerging challenges will force the

international firms to face a necessity for competency and sensitivity that is not found in the

domestic firms (Claus, 1998).




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September 2011

In the future the personal and professional attitudes and perspectives of the IHR manager will be

greatly expanded to handle the multiple countries and cultures confronted in the international

arena—both to manage their IHR responsibilities and to contribute to successful international

business strategies by their firms—beyond those which the domestic HR manager must develop

to be IHR managers (Briscoe & Schuler, 2004, p.29).

Additionally, in the case of HRM, internationalization will likely take many forms. For practical

purposes, HR managers in most types of firms can or will confront at least some aspects of

internationalization and many globalization changes causing the emergence of small and medium

enterprises, (SMEs), as globalization and technology factors will leave ―no place to hide‖

(Briscoe & Schuler, 2004. Thus, human resource professionals can find themselves involved

in—and therefore must understand—IHRM issues in any of the following possible situations

(which include HRM positions in all types of firms, not just international HR positions within the

types of firms usually focused on—i.e., working at the headquarters of an MNE or in the parent-

country operations) (Briscoe & Schuler, 2004). In all cases, the international aspects of the

situation increase the exposure and liabilities for HR managers and place on them ever-

increasing demands for new internationally focused competencies (Briscoe & Schuler, 2004; see

p. 21). HR managers, both of the international and domestic variety will continue to be

confronted with a wide variety of national, social, cultural, educational, managerial, and

governmental systems with MNEs, thus they should be educated and prepared well with the

skills and competencies needed to successfully meet this growing challenge.

Results and Conclusions:

Traditionally politics has been undertaken within national political systems. National

governments have been ultimately responsible for maintaining the security and economic welfare

of their citizens, as well as the protection of human rights and the environment within their

borders. With global ecological changes, an ever more integrated global economy, and other

global trends, political activity increasingly takes place at the global level (Globalization, 2005).




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September 2011

Over many centuries, human societies across the globe have established progressively closer

contacts. Recently, the pace of global integration has dramatically increased. Unprecedented

changes in communications, transportation, and computer technology have given the process

new impetus and made the world more interdependent than ever. Multinational corporations

manufacture products in many countries and sell to consumers around the world. Money,

technology and raw materials move ever more swiftly across national borders. Along with

products and finances, ideas and cultures circulate more freely. As a result, laws, economies, and

social movements are forming at the international level (Globalization, 2005).

Globalization typically refers to the process by which different economies and societies become

more closely integrated, and concurrent with increasing worldwide globalization, there has been

much research into its consequences (Nilson, 2010, p.1191). Also examining the relationship

between three dimensions of globalization and life expectancy, the most robust finding is a

positive relationship between economic globalization and life expectancy.

Multinational corporations manufacture products in many countries and sell to consumers around

the world. Money, technology and raw materials move ever more swiftly across national borders.

Along with products and finances, ideas and cultures circulate more freely. As a result, laws,

economies, and social movements are forming at the international level. Many politicians,

academics, and journalists treat these trends as both inevitable and (on the whole) welcome. But

for billions of the world's people, business-driven globalization means uprooting old ways of life

and threatening livelihoods and cultures (Global Policy Forum, 2011).

Under globalization, politics can take place above the state through political integration schemes

such as the European Union and through intergovernmental organizations such as the

International Monetary Fund, the World Bank and the World Trade Organization. Political

activity can also transcend national borders through global movements and NGOs. Civil society

organizations act globally by forming alliances with organizations in other countries, using

global communications systems, and lobbying international organizations and other actors

directly, instead of working through their national governments (Globalization, 2005).




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September 2011

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